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York County, city officials concerned about possible federal cuts

U.S. Rep. Scott Perry, R-York County, said he understands the concerns, but lawmakers have to consider the national debt.

By ED MAHON Daily Record/Sunday News

Updated:
07/23/2013 12:40:07 AM EDT

York, PA -

A proposal in the U.S. House of Representatives would reduce federal money for a program that has provided funding for first-time homebuyers, small business development, and HIV and sexually-transmitted disease testing in York.

The House proposal would provide $1.67 billion for the Community Development Block Grant program for the 2014 fiscal year, U.S. Sen. Bob Casey's office said in a news release last week. Casey, D-Pa., is advocating for a Senate proposal that includes $3.15 billion for the program.

"We're pretty anxious about the disparity," said Felicia Dell, director of the York County Planning Commission, which administers funding for non-York city projects. "Even if it's held level, that's after years of cuts in the program."

She said funding assists social service agencies initiatives, including for renter and homeowner counseling and for first-time home buyer assistance. Funding also goes toward municipal infrastructure improvements.

For the 2012 fiscal year, $1.97 million was allocated for York County government, which the local planning commission was responsible for administering, according to information from Casey's office.

Initiatives in York city are funded separately, and they were allocated to receive $1.2 million for 2012, according to information from Casey's office.

James Crosby, deputy director for the city's Bureau of Housing Services, said the city has lost between $500,000 and $600,000 in CDBG funds in the last few years. His office went from a staff of six to three.

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"It's had a tremendous impact," he said.

The initiatives are designed to assist people with low to moderate incomes, he said.

He said people in the city are concerned about the proposed funding cuts.

"That would essentially put us out of business," Crosby said. "We wouldn't have the capacity to deliver any resemblance of the services that we delivered in the past."

The CDBG funding is part of larger proposals for transportation, housing and urban development funding. Neither proposal has yet passed the full House or Senate.

U.S. Rep. Scott Perry, R-York County, said he plans to study how funding is prioritized and look into how members of the appropriations committee reached the funding level.

He said he's talked to local officials about the potential impact and understands their concerns. But he said lawmakers also have to consider the nearly $17 trillion national debt.

"We want to be helpful, but we've got to be mindful, as well," Perry said.

The enacted 2013 fiscal year funding for the CDBG program is $3 billion.

Steve Kelly, a spokesman for U.S. Sen. Pat Toomey, R-Pa., said in a statement that the Budget Control Act was passed and signed into law in 2011.

"This law established discretionary spending caps to rein in out-of-control Washington spending and put our nation on a sustainable path. Under these levels, we must make some tough choices and better prioritize federal spending," Kelly said. "Funding for some programs, including Community Development Block Grants (CDBG), may need to be reduced to ensure that we live within our means."

Casey said in a letter to the Senate Appropriations Committee funding cuts of nearly 25 percent to the program in the past few years have had negative repercussions.

"Now is not the time to make further cuts to this important job creating program," Casey said in the letter. @edmahonreporter; 771-2089